Challenger Gold Limited has advanced its Hualilan Gold Project in Argentina by initiating the final phase of metallurgical testwork necessary for a full-scale Pre-Feasibility Study. The extensive program, conducted using industry-standard column leach tests over a 90‐day duration, has yielded remarkably high gold recoveries across a range of ore grades and crushing sizes. In some tests, recoveries have reached as high as 85–96% and have proven competitive by global standards. The detailed assessments evaluated different lithologies—dacite, lutite, and calcite—as well as grind size variations up to 1 inch, and confirmed that even low-grade material can now potentially be treated economically. The technical data reveal that ore previously considered uneconomic or waste might now be processed profitably. Test regimes incorporating sequential flotation and comminution optimization indicate that a ½‑inch crush retains strong gold recoveries of approximately 65–85%, while column and flotation tests across varied lithologies consistently delivered robust results. These results support the integration of a heap leach circuit alongside traditional flotation circuits, thereby expanding the potential mining inventory and extending the mine life well beyond current scoping estimates. Supporting these metallurgical findings, extensive sampling, rigorous assaying, and detailed block modeling—conducted following JORC Code guidelines—enhance confidence in the resource estimates. According to the report, Probable Ore Reserves have been delineated that indicate a significant gold equivalent content, based on a cut‐off grade of 1.9g/t AuEq, with figures suggesting around 427,500 tonnes contributing to roughly 517,000 ounces of gold equivalent. This conversion is built on robust metallurgical recoveries of approximately 94.9% for gold and 90.9% for silver, in addition to credible assumptions on zinc and lead recoveries. Numerous technical indicators, including assay replicates, density measurements, and variography analysis, point to a high level of accuracy in the reported data. Furthermore, the project benefits from an approved Environmental Impact Assessment and is designed around a toll treatment arrangement with Austral Gold Limited, reducing the need for heavy capital expenditure on on-site processing facilities and offering a pathway to lower unit mining costs. From a bullish perspective, the testwork confirms a transformative opportunity for Hualilan. High recoveries—even at low-grade levels—and the potential to reclassify material previously deemed waste not only improve the project’s economics but also pave the way for a larger, open-pit mining scenario. This could result in a longer mine life, increased production, and a cost-effective development pathway, bolstering investor confidence in the project’s future profitability. Conversely, bearish sentiment stems from the inherent risks of scaling up from metallurgical testwork to full-scale operations. The extensive assumptions on recovery rates, mining dilution, and processing costs will require further validation as the project moves toward production. Additionally, the reliance on external approvals, market volatility in metal prices, and execution risks during the ramp-up phase remain key uncertainties that could impact overall project performance. Overall, the advanced metallurgical testwork and detailed resource modeling underline significant progress at Hualilan, offering promising technical and economic indicators while highlighting areas where further work is necessary to fully mitigate project risks.